Trustee Conflicts of Interest

 Policy on Trustee Conflicts of Interest (Full-Text Version)     

General Policy	A.  Trustees have a primary obligation to serve the purposes to which the Medical Center is dedicated.  As part of this obligation, each Trustee has a duty to conduct his or her Medical Center duties and the affairs of the Medical Center in a manner that promotes the best interests of the organization.  B.   A "Conflict of Interest" exists when a Trustee's personal interests or activities within or outside of the Medical Center influence or appear to influence a Trustee's ability to promote objectively the best interests of the Medical Center.  Any business transaction which involves the Medical Center and the Trustee, a member of his or her Immediate Family, or an entity in which he or she has a Material Interest gives rise to a Conflict of Interest.  Examples of Conflicts of Interest C.   The Medical Center does not enter into any business transactions with Trustees, members of their Immediate Family, or entities in which any Trustee has a Material Interest, and does not engage in any other matter which gives rise to a potential Conflict of Interest.  An exception to this policy may be made only when the Audit and Compliance Committee of the Board of Trustees determines that extraordinary circumstances merit an exception.
How & When to Disclose	A.  Disclosure - General on Appointment and Re-Appointment.  Trustees must submit a general disclosure statement to the Conflicts Management Unit (CMU): Upon appointment; Upon each triennial reappointment thereafter; and   Upon request of the Office of Compliance.  In the general disclosure statement, a Trustee must certify compliance with this Policy and disclose all entities in which he or she holds a Material Interest which he or she reasonably believes does or may do business with the Medical Center or competes or may compete with the Medical Center.  All disclosures must be made in specific amounts.  The Trustee must disclose any entity in which the Trustee and/or his or her Immediate Family: (i) has a director or trustee position; (ii) has an officer or senior executive position; (iii) is a partner; or (iv) owns or controls more than 5% of the entity's outstanding equity. The general disclosure statement form will be provided to each Trustee by the Conflicts Management Unit (CMU) and must be completed and returned within thirty (30) days of receipt and prior to the first meeting of the Board of Trustees (or a Committee thereof) following his or her appointment or reappointment.  Trustees may also be required to disclose additional personal interests, activities and relationships as mandated by regulatory requirements (e.g., IRS Form 990). B.   Disclosure - Specific Situations.  Trustees must disclose to the CMU any specific situation that gives rise to a potential Conflict of Interest involving the Trustee. C.   Confidentiality.  All disclosures will be kept confidential and divulged by the Medical Center solely for review under this Policy on a need-to-know basis.
Review & Evaluation Process	A.  Office of Compliance Initial Review.  The Conflicts Management Unit will conduct an initial review of the disclosure forms to determine if a potential Conflict of Interest (COI) exists under the circumstances.  Matters where a potential COI exists will be submitted to the Audit and Compliance Committee for review in accordance with this Policy. B.   Audit and Compliance Committee Review.  The Audit and Compliance Committee is responsible for reviewing and evaluating each potential Conflict of Interest involving a Trustee submitted by the Conflicts Management Unit.  The Medical Center will not approve a Trustee COI matter unless the Audit and Compliance Committee finds that there are extraordinary circumstances that merit an exception, in which place a plan for managing and montioring the COI will be implemented. The Audit and Compliance Committee must report to the Board of Trustees all findings it makes arising from its review and evaluation responsibilities under this Policy.
When to Recuse Yourself	A Trustee must recuse himself or herself from any discussion and vote that gives rise to a potential Conflict of Interest.  In such event, he or she must also notify the Conflicts Mangement Unit.
Trustee COI Terms	See our Glossary for the following Trustee COI Terms:  Conflict of Interest; Immediate Family; Material Interest
Examples of Buiness Affairs COIs	See our Trustee COI Examples for further clarification of Conflicts of Interest involving Trustees.
Enforcement for Violating Policy	Violations of this Policy are subject to corrective action, up to and including termination of association with the Medical Center in accordance to the policies and procedures applicable to Trustees.
Questions	For further guidance on this Policy see our FAQs on Trustee conflicts.  You may also contact the Conflicts Management Unit.
Relationship to Other Policies	This Policy and the Medical Center's Policy on Conflicts of Interest in Business Affairs replace the Medical Center's Conflict of Interest Policy dated March 18, 2004.

_{View the the complete NYULMC Policies on Conflicts of Interest, Commitment and Consulting.}